KDP to invest $863m in Nutrabolt.
Keurig Dr Pepper, a manufacturer and distributor of coffee systems, agreed to invest $863m in Nutrabolt, an active global health and wellness company.
"This partnership represents a win-win transaction between our two companies. KDP gains significant presence in the rapidly growing performance energy drink market, and Nutrabolt gains access to a strategic investor with extensive sales and distribution capabilities to further accelerate its growth. We believe that bringing together the resources, talent, and expertise of both companies will accelerate innovation and growth and drive significant value creation over time," Bob Gamgort, KDP Chairman and CEO.
Keurig Dr Pepper is advised by Evercore and Skadden Arps Slate Meagher & Flom (led by Maxim Mayer-Cesiano and Sean Doyle). Nutrabolt is advised by Goldman Sachs, Jefferies & Company, Giannuzzi Lewendon, Goodwin Procter and Kirkland & Ellis.
Intrinsic Medicine terminated the agreement to go public via a SPAC merger with Phoenix Biotech Acquisition in a $136m deal.
Intrinsic Medicine, a preclinical-stage therapeutics company, terminated the agreement to go public via a SPAC merger with Phoenix Biotech Acquisition in a $136m deal.
“Intrinsic was encouraged by the positive feedback from prospective investors regarding the attractiveness of our novel and capital-efficient approach to developing transformative new therapeutics. We remain focused on advancing these important potential drugs and are grateful to PBAX’s team of experienced life-sciences investment veterans for recognizing the fundamental value of our platform and pipeline,” Alexander Martinez, Intrinsic CEO.
The Stephens Group completed the acquisition of Quality Valve from Pfingsten Partners. (FS)
The Stephens Group, an investment management firm, completed the acquisition of Quality Valve, a provider of OEM relief valve replacement parts intended to serve the valve repair market, from Pfingsten Partners, a private equity firm. Financial terms were not disclosed.
“We are thrilled to add Quality Valve to our family of companies. Quality Valve’s differentiated competitive positioning and their broad suite of low-cost, high-consequence-to-failure products make this business a perfect fit for our specialty distribution focus. We have a high degree of confidence in CEO Jody Dunn and the entire management team and the business they have built. We are looking forward to working together to execute on our shared vision to extend the leadership of this specialty distribution platform," Grant Jones, Stephens Managing Director.
The Stephens Group was advised by Lincoln International and Bryan Cave Leighton Paisner. Debt financing is provided by Audax Group. Quality Valve was advised by BlackArch Partners and Paul Hastings.
Ferrero to acquire Wells Enterprises.
Ferrero, a manufacturer of branded chocolate and confectionery products, agreed to acquire Wells Enterprises, a manufacturer of ice cream, frozen novelties, and specialty frozen desserts. Financial terms were not disclosed.
"We are a 100-year-old company focused on adapting for the next 100 years. Ferrero is a like-minded company with a commitment to providing high-quality, premium, sweet-packaged food products that bring joy to consumers around the world. This acquisition puts the business in the best possible hands, and I look forward to supporting the entire Wells team and Ferrero with the transition," Mike Wells, Wells President and CEO.
Ferrero is advised by Morgan Stanley and Davis Polk & Wardwell (led by Daniel Brass). Wells is advised by UBS, McDermott Will & Emery and Sloane & Company.
Victory Hill Capital-backed VH Global Sustainable completed the acquisition of Mascarenhas Hydro Electric Facility from EDP Energias do Brasil for $242m. (FS)
Victory Hill Capital-backed VH Global Sustainable, an opportunistic infrastructure fund, completed the acquisition of Mascarenhas Hydro Electric Facility, a 198MW hydropower provider in Brazil, from EDP Energias do Brasil, a firm engaged in the generation, distribution, and sale of electric energy, for $242m.
"The acquisition of Mascarenhas marks our first investment in hydropower and provides us with a highly reliable source of power generation backed by long-term secure PPAs. The preconditions to enabling more penetration of wind and solar power capacity in the Brazilian energy mix are well established and strongly underpinned by government policies and the significant contribution of hydropower. Hydropower generation is one of the oldest and most proven power generation sources, complementing more intermittent renewable sources such as wind and solar and ultimately facilitates the presence of such energy sources in the energy mix," Eduardo Monteiro, Victory Hill Co-CIO.
VH Global Sustainable was advised by Alvarium, Numis Securities (led by David Benda), G10 Capital and Edelman.
The Acacia Group to acquire Isos Technology. (FS)
The Acacia Group, an investment firm, agreed to acquire Isos Technology, an Atlassian platinum and enterprise solution partner with customers across the public and private sectors. Financial terms were not disclosed.
“The visionaries at Atlassian have created products and tools that are mission-critical to the digital transformation of businesses worldwide. By combining the outstanding Atlassian teams from Isos and MajorKey, we are creating a new powerhouse to deliver on the full potential of Atlassian tools for a new generation of customers while also building deeper, more effective relationships with current customers to drive more value from their Atlassian investment. We have been highly impressed by the quality and reputation of the people at Isos and are delighted that our valued colleagues from MajorKey’s Atlassian team will be part of another compelling growth story within the Acacia portfolio," Craig Dawson, Acacia Co-Founder and Partner.
The Acacia Group is advised by Citizens M&A (led by Don Holbrook), Triago and Messner Media (led by Kristina Messner). Isos Technology is advised by Alantra.
ARKO-backed GPM Investments completed the acquisition of Pride Convenience Holdings from ArcLight Capital for $230m. (FS)
ARKO-backed GPM Investments, an operator of convenience stores, completed the acquisition of Pride Convenience Holdings, a firm that operates 31 convenience stores in highly desirable locations, from ArcLight Capital, a private equity firm, for $230m.
“Our agreement to acquire Pride highlights ARKO’s continued focus on creating long-term shareholder value by growing our core convenience store business. We believe Pride stores are top-tier assets, with a focus on excellent customer service and a quality loyalty program, and we further believe that we can add value to these assets through our operational and merchandising abilities and scale. We look forward to welcoming Pride’s employees to our Family of Community Brands and working together to enhance the business," Arie Kotler, ARKO Chairman, President and CEO.
ARKO was advised by Matter Communications. Pride Convenience was advised by BMO Capital Markets. ArcLight Capital was advised by Locke Lord (led by Bill Swanstrom and Jenelle M. Simmons).
Integra LifeSciences completed the acquisition of Surgical Innovation Associates for $140m.
Integra LifeSciences, a global medical technology company, completed the acquisition of Surgical Innovation Associates, a developer of a resorbable knitted mesh, for $140m.
“Integra LifeSciences warrants great respect among physicians and shares SIA’s origins in plastic surgery. We are excited to align with them as we continue our journey to make DuraSorb a leading option within the surgeon’s armamentarium for soft tissue reconstruction," Alexei Mlodinow, SIA Co-Founder and Board Director.
Integra LifeSciences was advised by Wyrick Robbins Yates & Ponton. Surgical Innovation Associates was advised by Bank of America and Proskauer Rose.
Green Rock Energy Partners, a sustainable infrastructure focused private equity firm, completed the acquisition of PSA South Hills Landfill Gas Venture, a renewable natural gas production facility. Financial terms were not disclosed.
“Green Rock is proud to expand our sustainable infrastructure portfolio. We continue to invest in renewable natural gas assets due to their ability to facilitate the transition to a lower-emission future while providing attractive returns,” Cody Myers, Green Rock Co-Founder and Managing Partner.
Green Rock is advised by Venture Engineering & Construction, Kean Miller and BackBay Communications.
New Water Capital to acquire Bulk Lift International and Bagwell Supply. (FS)
New Water Capital, a private equity firm, agreed to acquire Bulk Lift International, a manufacturer and supplier of flexible intermediate bulk containers, and Bagwell Supply, a manufacturer of packaging products. Financial terms were not disclosed.
"Our company has built a reputation for quality, flexibility, and supply-chain reliability that has made us the preferred supplier to a growing number of high-end industrial customers. With the expanded footprint of the new company and New Water's financial and operational support, we are ideally positioned to both grow our customer base and better serve our existing customers as their product and service needs evolve in a rapidly changing marketplace," Tony Famiano, Bulk Lift CEO.
New Water Capital is advised by Comcast Corporation. Bulk Lift International is advised by PricewaterhouseCoopers. Bagwell Supply is advised by CIBC World Markets.
United Rentals completed the acquisition of Ahern Rentals for $2bn.
United Rentals, an equipment rental company, completed the acquisition of Ahern Rentals, an equipment rental company, for $2bn.
“Our acquisition of Ahern Rentals supports our strategy to deploy capital to grow the core business and drive shareholder value. We view ourselves as the ideal owner of these assets within our network, as customers will benefit from the combination of the two organizations moving forward together. We're leveraging our competencies in larger-scale M&A to augment both our near- and long-term earnings power," Matthew Flannery, United Rentals CEO.
United Rentals was advised by Gibson Dunn & Crutcher (led by Jonathan Layne). Ahern Rentals was advised by Sullivan & Cromwell (led by Frank Aquila).
IBM, an American multinational technology corporation, agreed to acquire Octo, a technology firm, from Arlington Capital Partners, a private equity firm. Financial terms were not disclosed.
“Since our partnership with Octo began in early 2019, the Company has consummated four highly complementary acquisitions, expanding the Company’s healthcare footprint, while also doubling down on its strong positioning with forward-leaning modernization customers within the national security and civilian customer communities. The partnership with the Octo management team and their tireless efforts enabled us to build a great business focused on the infusion of modern technology into government applications and solidified the Company as an attractive workplace for technologists,” Michael Lustbader, Arlington Capital Managing Partner.
Meta goes to trial to defend VR deal with Within.
Meta Platforms faces a major test to its metaverse strategy in California federal court as US antitrust enforcers seek to block the social network from buying a virtual reality startup Within for $400m.
The Federal Trade Commission argues that Meta’s plan to buy Within, the maker of the fitness app Supernatural, is intended to give the tech giant a leg up in dominating the burgeoning VR market. The eight-day hearing in San Jose represents a test case for FTC Chair Lina Khan and her more aggressive strategy on mergers, especially by digital giants, Bloomberg reported.
Meta is advised by Latham & Watkins (led by Greg Roussel and Saad Khanani). Within is advised by Cooley.
CMTS completed the acquisition of the Massachusetts medical transportation business of Transformative Healthcare.
Coastal Medical Transportation Systems, a 24/7 non-emergency transportation service, completed the acquisition of the Massachusetts medical transportation business of Transformative Healthcare, a provider of mobile healthcare services and logistics management solutions. Financial terms were not disclosed.
"This acquisition has afforded us an opportunity to not only expand our services portfolio but also the scale of our capabilities in order to close gaps in care delivery across the region. With this strategic move, we believe we are in an even stronger position to support our mission. We are committed to providing great care, a superior work environment, and innovative technology and equipment, which — when combined — provide a more efficient and effective operation and, as a result, a higher-quality provider and patient experience," Alex Theoharidis, CMTS Founder and CEO.
Coastal Medical was advised by SVM PR. Transformative Healthcare was advised by Pinkston Group.
ICONIQ Growth and GGV Capital led a $200m Series C funding round in Drata. (FS)
ICONIQ Growth, a privately-held investment firm, and GGV Capital, a global venture capital firm, led a $200m Series C funding round in Drata, a continuous security and compliance automation platform, with participation from Alkeon Capital, Salesforce Ventures, Cowboy Ventures, SentinelOne, Silicon Valley CISO Investments, FOG Ventures, Jeff Weiner, Frank Slootman, Jennifer Tejada, Amit Agarwal, Olivier Pomel and Jonathan Rubinstein.
"Since our inception, Drata has been designed to bridge the gap between compliance and trust through automation, and we've made significant progress in less than two years. This next phase of growth will only further accelerate those efforts, introduce a new wave of open compliance, and help us realize our vision of being the trust layer between our incredible customers and those they do business with," Adam Markowitz, Drata Co-Founder and CEO.
Drata was advised by Cooley.
ARKO to acquire the retail, wholesale and fleet fueling assets of WTG Fuels Holdings for $140m.
ARKO, an operator of convenience stores and wholesalers of fuel in the United States, agreed to acquire the retail, wholesale and fleet fueling assets of WTG Fuels Holdings, an operator of fuel, propane, and convenience stores, for $140m.
“We are committed to creating value for our stockholders with a systematic, convenience-store focused long-term growth strategy focused on disciplined and accretive transactions. We believe that we add significant value to acquisitions with our excellent integration capacity, which has helped accelerate the pace of dealmaking, which in turn improves our business, creates more efficiencies, and funds future growth - a virtuous cycle that we believe sets ARKO apart as a leading convenience store operator and acquirer of choice," Arie Kotler, ARKO Chairman, President and CEO.
ARKO is advised by Matter Communications.
EQT-backed Covanta completed the acquisition of SGS Recovery, Frontier Fibers and Buffalo Fuel from Santarosa Group. (FS)
EQT-backed Covanta, a provider of environmental services for businesses and communities across North America, completed the acquisition of SGS Recovery, a provider of waste management services, Frontier Fibers, a provider of fiber-based bedding products, and Buffalo Fuel, a provider of transportation and recycling service, from Santarosa Group, a holding company. Financial terms were not disclosed.
"The addition of SGS Recovery, Frontier Fibers, and Buffalo Fuel to our team is a game changer because it elevates Covanta into the leading provider of alternative fuels in the country. These are exciting early innings in our transformation as we lay the groundwork for more sustainable solutions to carbon intrusive industries. We look forward to this extraordinary opportunity to build upon compelling services that not just meet customers' economic needs but also present effective solutions that shape a truly circular economy," Azeez Mohammed, Covanta President and CEO.
EQT was advised by Kekst CNC (led by Daniel Yunger).
Buyers Edge Platform, a digital procurement platform, agreed to acquire Restaurant Accounting Services, an accounting and operational management services provider. Financial terms were not disclosed.
"We are ecstatic about welcoming the RASI team and technology into the Buyers Edge Platform! Traditionally, restaurant software has been siloed into only performing one specific function, so the restaurants have been forced to piecemeal their tech stack with systems that don't connect efficiently and are not truly built with foodservice operations in mind. The RASI software completes a major component in the Buyers Edge Back Office, which has been under development for many years," John Davie, Buyers Edge Platform CEO.
Buyers Edge Platform is advised by INK inc PR.
HGS, an IT service management company, agreed to acquire TekLink International, a business intelligence consulting company, for $59m.
"We are excited to become part of the HGS family to complement their already established digital customer engagement, digital experience, intelligent automation, and cloud & security portfolio with our world-class data platform and analytics solutions and services. Together, our mutual clients will benefit from best-in-class, end-to-end digital transformation," Pankaj Gupta, TekLink Founder and CEO.
Arco minority shareholders urge rejection of takeover proposal. (FS)
Developer of educational software Arco Platform's shareholders sent a letter to directors urging them to reject a deal to take the company private by private equity firms General Atlantic and Dragoneer Investment, Bloomberg reported.
Arisaig Partners, Gavea Investimentos, and Hix Capital, which say they represent a collective ownership stake of 13%, wrote that if Arco agrees to a proposed takeover, it would “represent a callous mistreatment of minority shareholders.” The group described the $11-a-share offer price as “unfavorable,” adding that the value is not “anywhere close to acceptable” based on Arco’s history as a public company, earnings momentum, recent volume-weighted market price, and peers.
WPP to acquire Diff.
WPP, a British multinational advertising, and public relations company, agreed to acquire Diff, a commerce agency based in Montreal. Diff will join the Wunderman Thompson global network. Financial terms were not disclosed.
"The tremendous growth in the digital commerce ecosystem means our clients are looking to us to deliver the innovative solutions they need to reach new and existing customers in meaningfully engaging ways. Diff's Shopify expertise, alongside its unique blend of strategy, optimization, and design, will be a welcome addition to our commerce portfolio and will drive results for our clients in North America, which is WPP's largest market," Mark Read, WPP CEO.
Altumint, an automated traffic law enforcement company, completed the acquisition of the automated traffic safety enforcement business of Rekor Systems, a global AI technology company. Financial terms were not disclosed.
"Our decision to divest our ATSE business unit demonstrates our disciplined approach to evaluating and focusing our resources on strategic growth in roadway data services, where we are an advantaged player. We believe the Company is on a solid path towards increasing recurring revenue as our technology aggregates, transforms, and analyzes data from multiple sources and delivers actionable roadway insights as a service," Eyal Hen, Rekor CFO.
Third Point sells Cano Health stake. (FS)
Daniel Loeb’s Third Point, an investment adviser, sold its remaining stake in Cano Health, an operator of primary care centers and affiliated medical practices, amid mounting concerns around the healthcare provider’s liquidity.
Third Point sold out of Cano through a block trade last week. The New York-based hedge fund had disclosed a 3.5% position in October, down from 6.4% in March, public filings show. Meanwhile, some of Cano Health’s biggest creditors are in the early stages of organizing ahead of potential debt discussions, Bloomberg reported.
Air Products and AES to invest $4bn in building green hydrogen plant.
Air Products, a provider of essential industrial gases, related equipment, and applications, and AES, a global energy company, announced plans to invest approximately $4bn to build, own and operate a green hydrogen production facility in Wilbarger County, Texas.
This mega-scale renewable power to hydrogen project includes approximately 1.4GW of wind and solar power generation, along with electrolyzer capacity capable of producing over 200MT/D of green hydrogen, making it the largest green hydrogen facility in the United States. The facility, targeted to begin commercial operations in 2027, will serve the growing demand for zero-carbon intensity fuels for the mobility market and other industrial markets.
Global M&A deals up 3% in 2022.
New figures from Datasite, a virtual data room provider for mergers and acquisitions due diligence, reveal that M&A deals are up by 3% when compared to the same period last year.
Datasite, which facilitates approximately 13k deals annually, compiled the figures based on the deals taking place on its platform from January to November. These deals are recorded at their inception, and are not yet announced, giving clear evidence that dealmaking is continuing and there is a steady deal volume already being worked on, although many won’t be announced for another six to nine months.
McEwen Mining lines up copper IPO as Argentina project advances.
McEwen Mining is planning to take its copper unit public next year, seeking to capitalize on growing demand for the wiring metal,
Bloomberg reported.
The company run by metals entrepreneur Rob McEwen is preparing an initial public offering for its McEwen Copper business in the first half of 2023, according to Michael Meding, who leads the unit. The company operates in Los Azules, one of the world’s biggest underdeveloped copper deposits.
400 Capital Management closes third private credit fund with $580m of committed capital. (FS)
400 Capital Management, an alternative credit asset manager specialising in structured credit with over $5.7bn of capital under management, has held the final close of its Asset Based Term Fund III with $580m of committed capital.
The close of ABTF III follows the firm’s successful launch of ABTF II in 2019, which closed with over $430m in August 2020. Previously, ABTF I, which was launched in 2017, raised over $200m and is fully invested and returning capital to investors.
Avant secures $250m funding from Ares Management. (FS)
Avant, a credit-first financial technology company that provides access to financial solutions to underserved non-prime consumers, has secured $250m of corporate debt and redeemable preferred equity from Ares Management Alternative Credit funds.
This funding follows a $250m securitisation in September and several other success markers in 2022. In January, the Avant Credit Card, issued by WebBank, surpassed one million customers. In August, the financial technology company unveiled a new multi-year exclusive partnership with Major League Soccer for a co-branded fan affinity credit card that will be powered by Avant and issued by WebBank.
